Many property preservation companies perform services on foreclosed homes, including lawn care, inspections, evictions, estimates, and repairs. Many small businesses expect to grow over time. However, with that growth, there are risks. But any risks that you may face can be mitigated by properly insuring against those exposures where liability becomes a concern.
You’ve invested a lot of time and money in your small business, so it makes sense to protect that investment with smart and professional property preservation insurance coverage. In fact, insurance should be an essential part of your business operations since it truly is a necessity for safeguarding your business assets, any employees you may have, and your livelihood.
What your clients may expect from you
As a property preservation contractor, you have some often-defined expectations. It’s probably a sure bet that many of the clients you work for will request that you have commercial general liability and errors and omissions coverages before you even begin to get to work. Many, if not most, asset management companies and banks may let you start working for them if you have a general liability policy in place, and they may give you up to 60 days from the start of your work to procure the errors and omissions policy.
When Buying Property Preservation Insurance you might be better off getting a policy with a blanket additional insured endorsement and online policy management so you can easily print out certificates of insurance when required. Ask your agent to review your insurance requirements before buying any coverage to ensure you have the exact coverage you’re going to need. If you plan on using subcontractors, collect certificates of insurance from each of them. The certificates should name you as additional insured.
You can even save yourself some money by packaging your general liability (GL) policy with errors & omissions (E&O) coverage. You really will need both of these policies. If you do have employees, make sure to carry workers compensation in addition to your basic GL/E&O package. Employee injuries are not covered by general liability insurance. There’s a lot to consider when putting together a comprehensive property preservation insurance package, so speak to your agent today.